VM0016 Recovery and Destruction of Ozone-Depleting Substances

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1 VCS Methodology VM0016 Recovery and Destruction of Ozone-Depleting Substances Version November 2017

2 Prepared by: Energy Changes Projekt Entwicklung GmbH Obere Donaustraße 12/ Vienna, Austria and USG Umweltservice GmbH Franz-Fritsch-Straße 11/Süd/ Wels, Austria 2

3 Table of Contents 1. Sources Summary Description of the Methodology Definitions Applicability Conditions Project Boundary Baseline Scenario Additionality Destruction of CFC Refrigerant Destruction of ODS refrigerant and/or ODS blowing agents Quantification of GHG Emission Reductions and Removals Baseline Emissions Project Emissions Leakage Net GHG Emission Reduction and Removals Monitoring Data and Parameters Available at Validation Data and Parameters Monitored Description of the Monitoring Plan References APPENDIX I: ODS (ANNEX I, GROUPS) AND THEIR GWP APPENDIX II: CODE OF GOOD HOUSEKEEPING APPENDIX III: TECHNOLOGY SCREENING PROCESS

4 1 SOURCES This methodology refers to the latest version of the following approved methodologies: Climate Action Reserve (CAR) methodology U.S. Ozone Depleting Substances Project Protocol, Destruction of U.S. Ozone Depleting Substances Banks Climate Action Reserve (CAR) methodology Article 5 Ozone Depleting Substances Project Protocol, Destruction of Article 5 Ozone Depleting Substances Banks RAL Deutsches Institut für Gütesicherung: Quality Assurance and Test Specifications for the Demanufacture of Refrigeration Equipment This methodology refers to the latest version of the following approved tools and modules: CDM tool Tool for the demonstration and assessment of additionality CDM tool Tool to calculate the emission factor for an electricity system VCS module VMD0048 Activity method for the determination of additionality for recovered and stockpiled ODS refrigerant projects The following have also informed the development of the methodology: CDM tool Tool to calculate project or leakage CO2 emissions from fossil fuel combustion CDM tool Tool to calculate baseline, project and/or leakage emissions from electricity consumption and monitoring of electricity generation 2 SUMMARY DESCRIPTION OF THE METHODOLOGY Additionality and Crediting Method Additionality Crediting Baseline Project / Activity Method Project This methodology quantifies the GHG emission reductions from activities that recover and destroy Ozone-Depleting Substances (ODS) from products where a partial or total atmospheric release of ODS occurs in the baseline scenario. Project activities can be implemented in Montreal Protocol Article 5 and Non-Article 5 countries. Project activities may recover and destroy ODS refrigerants, ODS blowing agents or both. 3 DEFINITIONS In addition to the definitions set out in VCS document Program Definitions, the following definitions and acronyms apply to this methodology: 4

5 Article 5 Country Any party to the Montreal Protocol that is a developing country and whose annual calculated level of consumption of the controlled substances in Annex A (of the Montreal Protocol) is less than 0.3 kilograms per capita Non Article 5 Country Any party to the Montreal Protocol which is not an Article 5 country Destruction Facility The facility where the destruction of the ODS takes place and which meets the screening criteria for destruction technologies set out in the report, as may be updated from time to time, by the UNEP Technology and Economic Assessment Panel (TEAP) Task Force on Destruction Technologies. UNEP Technology and Economic Assessment Panel (TEAP) Report of the Task Force on Destruction Technologies, UNEP, Ozone-Depleting Substance (ODS) A family of man-made compounds that includes, but is not limited to, chlorofluorocarbons (CFCs), bromofluorocarbons (halons), methyl chloroform, carbon tetrachloride, methyl bromide, and hydrochlorofluorocarbons (HCFCs). These compounds have been shown to deplete stratospheric ozone, and therefore are typically referred to as ODS. Many Ozone-Depleting Substances also have a Global Warming Potential (GWP) and are therefore Greenhouse Gases (GHG). CFC ODS: An ODS listed in Annex A, Group 1 or Annex B, Group 1 of Appendix I of this methodology. HCFC ODS: An ODS listed in Annex C, Group 1 of Appendix I of this methodology. ODS blowing agent A chemical (being an ODS) added to plastics and rubbers that generates inert gases on heating, causing the resin to assume a cellular structure ODS refrigerant A chemical (being an ODS) used or intended for use in a cooling mechanism, such as an air conditioner or refrigerator, as the heat carrier which changes from gas to liquid and then back to gas in the refrigeration cycle Product Any of the following: refrigeration, air conditioning or fire suppression equipment, systems or appliances, or thermal insulation foams Recovery To remove ODS refrigerants and blowing agents in any condition from a system and store it in an external container 5

6 Recovery Facility The facility where the project proponent recovers ODS refrigerants and blowing agents from appliances, or the facility where collected refrigerant is aggregated by the project proponent in preparation for destruction. The location where refrigerant is recovered from stationary equipment, such as a chiller, is not a recovery facility. Recycle To extract ODS refrigerants from an appliance and clean it using oil separation and single or multiple passes through filter-driers, which reduce moisture, acidity, and particulate matter Reclaim To reprocess used ODS refrigerants or blowing agents, typically by distillation, to specifications similar to that of virgin product specifications Refrigerator appliance Any appliance whose main purpose is the cooling of foodstuffs and other temperature-sensitive products and which are further defined as following (according to RAL Deutsches Institut für Gütesicherung: Quality Assurance and Test Specifications for the Demanufacture of Refrigeration Equipment): Domestic fridges: These are refrigerators of a typical domestic design with a storage capacity of up to 180 litres. The appliances may or may not be equipped with a separate deep-freeze compartment. (Type 1 appliances). Domestic fridge-freezers: These are refrigeration appliances of a typical domestic design with a storage capacity ranging from 180 to 350 litres. Generally, these appliances have a separate deep-freeze compartment. (Type 2 appliances). Domestic chest freezers and upright freezers: These are deep-freeze appliances of a typical domestic design with a storage capacity up to 500 litres. (Type 3 appliances). Stockpile A CFC ODS refrigerant stored in an external container(s) by a single person or entity (including but not limited to private companies, organizations, and/or government agencies), or by multiple people or entities at a single location. A stockpile may be composed of one or more containers of any size. Containers in a stockpile may consist of recovered, reclaimed, recycled, or unused (manufactured for use but never so used) CFC ODS. 4 APPLICABILITY CONDITIONS This methodology applies to project activities that recover and destroy ODS where the baseline scenario is the partial or total atmospheric release of ODS. This methodology does not apply to ODS refrigerant or ODS blowing agents that are manufactured for the sole purpose of their subsequent destruction. 6

7 Project activities can be implemented in Article 5 as well as in Non-Article 5 countries 1. Only ODS listed in Appendix I of this methodology, and for which the VCS rules (as may be updated from time to time) apply, are eligible. ODS in a stockpile must be CFC ODS in order to be eligible under this methodology. The methodology can be applied to either ODS refrigerants and/or ODS blowing agents. In the case of ODS blowing agents the methodology is only applicable to project activities recovering and destroying ODS blowing agents contained in insulation foam of end-of-life refrigerator appliances. The ODS blowing agent must be extracted from the foam to a concentrated form prior to destruction. This must be done under negative pressure to ensure that fugitive release of ODS cannot occur. All ODS must be collected, stored, and transported in cylinders or other hermetically sealed containers. 5 PROJECT BOUNDARY The spatial extent of the project boundary encompasses: The recovery facility Transportation from the recovery facility to the destruction facility The destruction facility Project boundary ODS Recovery Facility Transport ODS Destruction Facility The greenhouse gases included in or excluded from the project boundary are shown in Table below. 1 For the avoidance of doubt: Recovery and destruction activities can take place in separate countries. 7

8 Table 1: GHG Sources Included In or Excluded From the Project Boundary Source Gas Included? Justification/Explanation Baseline Emissions through the release of ODS refrigerants into the atmosphere Emissions through the release of ODS blowing agent into the atmosphere n i1 n i1 ODS i ODS i Yes Yes Main emission source in the baseline Main emission source in the baseline CO2 Yes May be an important emission source Emissions through on-site fossil fuel and electricity consumption at the recovery facility CH4 No Excluded for simplification. This emission source is assumed to be very small N2O No Excluded for simplification. This emission source is assumed to be very small Project Emissions through transportation of ODS from the recovery facility to the destruction facility CO2 Yes May be an important emission source CH4 No Excluded for simplification. This emission source is assumed to be very small N2O No Excluded for simplification. This emission source is assumed to be very small Emissions associated to the destruction process of ODS CO2 Yes May be an important emission source CH4 No Excluded for simplification. This emission source is assumed to be very small N2O No Excluded for simplification. This emission source is assumed to be very small n i1 ODS i Yes May be an important emission source 8

9 6 BASELINE SCENARIO The project proponent must use Step 1 of the latest version of the CDM Tool for the demonstration and assessment of additionality, to identify all realistic and credible baseline alternatives. In doing so, relevant policies and regulations related to the management of ODS banks should be taken into account. Such policies or regulations may include mandatory ODS capture or destruction requirements because of regional or local environmental regulations. In addition, the assessment of alternative scenarios should take into account regional economic and technological circumstances. For ODS refrigerants the realistic and credible alternative(s) may include, inter alia R1 R2 R3 R4 Project activity not performed as emission reduction project Products are disposed of into an incineration facility and thereby ODS refrigerants are destroyed Atmospheric release of the ODS refrigerant or partial capture and destruction Atmospheric release of the ODS refrigerant or partial capture and reuse in existing products or continued storage in stockpile For ODS blowing agents the realistic and credible alternative(s) may include, inter alia BAF1 BAF2 BAF3 BAF4 Project activity not performed as emission reduction project The refrigerators containing foams (blowing agents) are disposed of into an incineration facility and thereby ODS blowing agents are destroyed The refrigerators containing foams (blowing agents) are disposed of at a landfill/dump Before final disposal, the refrigerators containing foam are shredded. The foams are subsequently: BAF4.1 disposed of at an incineration facility BAF4.2 disposed of at a landfill/dump BAF4.3 disposed of by open burning BAF4.4 extracted and ODS blowing agents are partly captured and destroyed The methodology is only applicable for ODS refrigerants if the most plausible baseline scenario for the ODS refrigerant is either R3 or R4 or a combination of both. In respect of ODS blowing agents the methodology is only applicable if the most plausible baseline scenario for ODS blowing agents from foam is either one of BAF4.1, BAF4.2, BAF4.3 or BAF4.4 or any combination of these scenarios. 9

10 7 ADDITIONALITY The project proponent should use the two-step process set out in Section 7.1 for the demonstration of additionality for projects that destroy CFC refrigerant and fulfill the applicability conditions of VCS activity method module Activity method for the determination of additionality for recovered and stockpiled ODS refrigerant projects. The project proponent must use the project method set out in Section 7.2 for all other projects eligible under this methodology. 7.1 Destruction of CFC refrigerant Step 1: Regulatory surplus The project proponent must demonstrate regulatory surplus in accordance with the rules and requirements regarding regulatory surplus set out in the latest version of the VCS Standard. Step 2: Positive list The applicability conditions of VCS activity method module Activity method for the determination of additionality for recovered and stockpiled ODS refrigerant projects represent the positive list. The positive list was established using the revenue streams option (Option C in the VCS Standard). Projects that meet all of the applicability conditions of this methodology and the VCS activity method module Activity method for the determination of additionality for recovered and stockpiled ODS refrigerant projects are deemed additional. 7.2 Destruction of ODS refrigerant and/or ODS blowing agents This methodology uses a project method for the demonstration of additionality of all project activities that are not eligible to apply the activity method described above. Such projects include the destruction of ODS blowing agents and the destruction of other ODS refrigerants where the activity method is not applicable or preferred, in which case project proponents shall apply the latest version of the CDM Tool for the demonstration and assessment of additionality. 8 QUANTIFICATION OF GHG EMISSION REDUCTIONS AND REMOVALS 8.1 Baseline Emissions Baseline emissions from existing ODS contained in products and/or stockpiles are determined with the following equation: BE ODS,y = BE ODS_ref,y + BE ODS_foam,y (1) 10

11 Where: BE ODS,y = Total quantity of baseline emissions from ODS refrigerants and blowing agents (foam) which would be released into the atmosphere in the absence of the project activity in year y [tco2e] BE ODS_ref,y = Baseline emissions from ODS refrigerants which would be released into the atmosphere in the absence of the project activity in year y [tco2e] BE ODS_foam,y = Baseline emissions from ODS blowing agents contained in insulation foams of refrigeration appliances which would be released into the atmosphere in the absence of the project activity in year y [tco2e] Baseline emissions from ODS refrigerants are determined as follows: n BE ODS_ref,y = i=1 ((M DESTR,refr,i,y VR refr EF VR ) + (M DESTR,refr,i,y RR refr,i,y EF RR,refr,i,y ) + (M DESTR,refr,i,y DR refr EF DR )) GWP refr,i (2) 1 = VR refr + RR refr,i,y + DR refr (3) Where: BE ODS_ref,y = Baseline emissions from ODS refrigerants which would be released into the atmosphere in the absence of the project activity in year y [tco2e] M DESTR,refr,i,y = Quantity of ODS refrigerant i destroyed by the project activity in year y [todsi] VR refr = Rate of ODS refrigerants (destroyed) which would be vented into the atmosphere in the baseline [%,0-100%] EF VR = Emission factor for the rate of ODS refrigerants (destroyed) which would be vented into the atmosphere [1] DR refr = Rate of ODS refrigerants (destroyed) by the project activity which would also be destroyed in the baseline [%,0-100%] EF DR = Emission factor for the rate of ODS refrigerants (destroyed) by the project activity which would also be destroyed in the baseline [0] RR refr,i,y = Rate of ODS refrigerants i which would be used, reused or remain in storage in the baseline [%,0-100%] EF RR,refr,i,y = Emission factor for the rate of ODS refrigerant i (destroyed) which would be reused in the baseline [0-1.0] GWP refr,i = Global warming potential of ODS refrigerant type i that converts 1 ton of ODS i to tons of CO2 equivalents. [tco2e/todsi] 11

12 EF VR = 1 EF DR = 0 (4) (5) EF RR,refr,i = 1 (1 LR refr,i ) tcp (6) Where: EF RR,refr,i = Emission factor for the rate of ODS refrigerant i (destroyed) which would be reused in the baseline [0-1.0] LR refr,i = Leak rate of ODS refrigerant i (destroyed), which would be used as refrigerant for existing equipment or remain in storage in the baseline [%,0-100%] tcp = Project crediting period [10] When destruction of the ODS refrigerants by the project activity is mandated by law, statute or other regulatory framework applying in the host country, the baseline shall be the gradually increasing compliance with such law, statute or other regulatory framework, and the baseline GHG emissions shall be calculated as follows: BE ODS_ref,y,a = BE ODS_ref,y (1 CR y ) (7) Where: BE ODS_ref,y = Baseline emissions from ODS refrigerants which would be released into the atmosphere in the absence of the project activity in year y [tco2e] BE ODS_ref,y,a = Adjusted baseline emissions to be used for the calculation of emission reductions in year y [tco2e] CR y = Host country-level compliance rate of the law, statute or other regulatory framework in the year y. Calculation of the compliance rate shall exclude other projects implemented under GHG programs. If the compliance rate exceeds 50%, the project shall receive no further credit [%, 0-100%] Baseline emissions from ODS blowing agents are determined as follows: n BE ODS_foam,y = i=1 ((M APPLIANCE,foam,i,y ER foam,i (M APPLIANCE,foam,i,y M DESTR,foam,i,y )) GWP foam,i ) (8) 12

13 Where: BE ODS_foam,y = Baseline emissions from ODS blowing agents contained in insulation foams of refrigeration appliances which would be released into the atmosphere in the absence of the project activity in year y [tco2e] M DESTR,foam,i,y = Quantity of ODS blowing agent i destroyed by the project activity in year y [todsi] M APPLIANCE,foam,i,y = Total quantity of ODS blowing agent i contained in the total number of refrigerator appliances from which ODS is recovered in year y [todsi] ER foam,i = Rate by which ODS blowing agent i contained in foam of refrigeration appliances would be released into atmosphere based on the disposal practice (baseline) in the respective host country [%,0-100%] GWP foam,i = Global warming potential of ODS blowing agent type i that converts 1 ton of ODS i to tons of CO2 equivalents. [tco2e/todsi] M APPLIANCE,foam,i,y = M APPLIANCE,1,foam,i,y + M APPLIANCE,2,foam,i,y + M APPLIANCE,3,foam,i,y (9) Where: M APPLIANCE,1,foam,i,y = Total quantity of ODS blowing agent i contained in the total number of type 1 refrigerator appliances from which ODS is recovered in year y [todsi] M APPLIANCE,2,foam,i,y = Total quantity of ODS blowing agent i contained in the total number of type 2 refrigerator appliances from which ODS is recovered in year y [todsi] M APPLIANCE,3,foam,i,y = Total quantity of ODS blowing agent i contained in the total number of type 3 refrigerator appliances from which ODS is recovered in year y [todsi] J M APPLIANCE,1,foam,i,y = 1 M app,1,foam,i,y (10) Where: M APPLIANCE,1,foam,i,y = Quantity of ODS blowing agent i contained in one type 1 refrigerator appliance from which ODS is recovered during year y [todsi] J = Total number of type 1 refrigerator appliances from which ODS blowing agent i is recovered in year y [Number] 13

14 M APPLIANCE,2,foam,i,y = K 1 M app,2,foam,i,y (11) Where: M app,2,foam,i,y = Quantity of ODS blowing agent i contained in one type 2 refrigerator appliance from which ODS is recovered during year y [todsi] K = Total number of type 2 refrigerator appliances from which ODS blowing agent i is recovered in year y [Number] M APPLIANCE,3,foam,i,y = L 1 M app,3,foam,i,y (12) Where: M app,3,foam,i,y = Quantity of ODS blowing agent i contained in one type 3 refrigerator appliance from which ODS is recovered during year y [todsi] L = Total number of type 3 refrigerator appliances of which ODS blowing agent i is recovered in year y [Number] For baseline scenarios BAF4.1 and BAF4.2 the following default factors shall be used for ER foam,i Table 2: Default Factors Disposal Practice (Baseline) BAF4.1: disposed of at an incineration facility BAF4.2: disposed of at a landfill/dump ODSi Applicable default factor ER foam, i Source CFC Same as used in CAR U.S. CFC HCFC HCFC-141b 0.24 Ozone Depleting Substances Project Protocol Table 5.3 and 5.4 Based on Scheutz, C. et al. (2007a) CFC Same as used in CAR U.S. CFC HCFC HCFC-141b 0.5 Ozone Depleting Substances Project Protocol Table 5.3 and 5.4 Based on Scheutz, C. et al. (2007a/b) Fredenslund, A. et al. (2005) For BAF4.3 and BAF4.4, studies or industry data. ER foam, i shall be based on host country officially published data, research 14

15 When destruction of the ODS blowing agents by the project activity is mandated by law, statute or other regulatory framework applying in the host country, the baseline shall be the gradually increasing compliance with such law, statute or other regulatory framework, and the baseline GHG emissions shall be calculated as follows: BE ODS_foam,y,a = BE ODS_foam,y (1 CR y ) (13) Where: BE ODS_foam,y,a = Adjusted baseline emissions to be used for the calculation of emission reductions in year y [tco2e] BE ODS_foam,y = Baseline emissions from ODS blowing agents contained in insulation foams of refrigeration appliances which would be released into the atmosphere in the absence of the project activity in year y [tco2e] CR y = Host country-level compliance rate of the law, statute or other regulatory framework in the year y. Calculation of the compliance rate shall exclude other projects implemented under GHG programs. If the compliance rate exceeds 50%, the project shall receive no further credit [%,0-100%] 8.2 Project Emissions Project emissions in year y are: Emissions that are caused by the project activity due to energy consumption at the ODS recovery facility Emissions that are caused by the project activity due to ODS transportation Emissions that are caused by the project activity due to ODS destruction PE y = PE Energy_Consump,y + PE ODS_Transport,y + PE ODS_Destruction,y (14) PE y = Project emissions during year y [tco2e] PE Energy_Consump,y = Project emissions from energy consumption at the ODS recovery facility during year y [tco2e] PE ODS_Transport,y = Project emission from ODS transportation during year y [tco2e] PE ODS_Destruction,y = Project emission from ODS destruction during year y [tco2e] Determination of PE Energy_Consump,y : PE Energy_Consump,y = PE EC,y + PE FC,j,y (15) 15

16 Where: PE Energy_Consump,y = Project emissions from energy consumption attributable to the ODS recovery facility during year y [tco2e] PE EC,y = Project emissions from electricity consumption from the grid at the ODS recovery facility during year y [tco2e] PE FC,j,y = Project emissions from fossil fuel consumption attributable to the ODS recovery facility including third party used fossil fuel to generate energy for the ODS recovery facility during year y [tco2e] Determination of PE EC,y : PE EC,y = EC PJ,y EF grid,y (1 + TDL y ) (16) Where: PE EC,y = Project emissions from electricity consumption from the grid at the ODS recovery facility during year y [tco2e] EC PJ,y = Amount of electricity consumed at the ODS recovery facility from the grid during year y [MWh] EF grid,y = Grid emission factor during monitoring period y [tco2e /MWh] TDL y = Average technical transmission and distribution losses in the grid for the voltage level at which electricity is obtained from the grid at the project site during year y [%,0-100%] For determination of EF grid,y the project proponent shall choose one of the following options: Calculate the combined margin emission factor, using the procedures in the latest approved version of the CDM Tool to calculate the emission factor for an electricity system ; or Use a conservative default value of 1.3 tco2/mwh For determination of TDL y Use recent, accurate and reliable data available within the country; or Use a conservative default value of 20% Determination of PE FC,j,y : PE FC,j,y = i FC i,j,y COEF i,y (17) 16

17 Where: PE FC,j,y = Project emissions from fossil fuel consumption attributable to the ODS recovery facility including third party used fossil fuel to generate energy for the ODS recovery facility during year y [tco2e] FC i,j,y = Amount of fuel type i combusted in process j at the ODS recovery facility or at any third party generating energy for the ODS recovery facility during year y [mass or volume unit] COEF i,y = CO2 emission coefficient of fuel type i in year y [tco2e / mass or volume unit] i are the fuel types combusted in process j The CO2 emission coefficient COEF i,y can be calculated according to two different procedures, depending on the available data about the fossil fuel type i,: Option A: The CO2 emission coefficient COEF i,y is calculated based on the chemical composition of the fossil fuel type i, using the following approach: If FC i,j,y is measured in a mass unit: COEF i,y = w C,i,y 44/12 If FC i,j,y is measured in a volume unit: COEF i,y = w C,i,y ρ i,y 44/12 Where: COEF i,y = CO2 emission coefficient of fuel type i during year y [tco2e / mass or volume unit] w C,i,y = Weighted average mass fraction of carbon in fuel type i during year y [tc / mass unit of the fuel] ρ i,y = Weighted average density of fuel type i during year y [mass unit / volume unit of the fuel] Option B: The CO2 emission coefficient COEF i,y is calculated based on net calorific value and CO2 emission factor of the fuel type i, as follows: COEF i,y = NCV i,y EF CO2,i,y (18) Where: COEF i,y = CO2 emission coefficient of fuel type i during year y [tco2e / mass or volume unit] NCV i,y = Weighted average net calorific value of the fuel type i during year y [GJ/mass or volume unit] 17

18 EF CO2,i,y = Weighted average CO2 emission factor of fuel type i during year y [tco2e /GJ] Where necessary data is available option A should be used. Determination of PE ODS_Transport,y and PE ODS_Destruction,y : For project emissions due to ODS transportation and destruction, the project proponent shall apply the default factors provided by the latest version of the CAR Article 5 Ozone Depleting Substances Project Protocol: (Calculating Default Project Emissions from ODS Destruction and Transportation) PE ODSTransport,y + PE ODSDestruction,y = (M DESTR,refr,i,y + M DESTR,foam,i,y ) EF ODS_Transport+Destruction,y (19) Where: PE ODS_Transport,y = Project emission from ODS transportation during year y [tco2e] PE ODS_Destruction,y = Project emission from ODS destruction during year y [tco2e] M DESTR,refr,i,y = Quantity of ODS refrigerant i sent for destruction by the project activity, including eligible and ineligible material, during year y [todsi] M DESTR,foam,i,y = Quantity of ODS blowing agent i sent for destruction by the project activity, including eligible and ineligible material, during year y [todsi] EF ODS_Transport+Destruction,y = Default emission factor aggregating both transportation and destruction emissions [tco2] (sourced from CAR, as above) 8.3 Leakage Leakage emissions occur where in the baseline ODS refrigerant would have been re-used and in the project scenario must be substituted by other chemicals. Reuse may result in a gradual release of ODS over the project crediting period. When refrigerant ODS are destroyed, continued demand for refrigeration will lead to the production and consumption of other refrigerant chemicals whose production is still legally allowed. n LE ODS_Substitute,y = i M Destr,refr,i,y TLR substitute,i GWP substitute,i (20) Where: LE ODS_Substitute,y = Leakage emissions through ODS substitute i during year y [tco2e] 18

19 M Destr,refr,i,y = Quantity of ODS refrigerant i which is sent to destruction by the project activity in year y [todsi] TLR substitute,i = Total leakage of substitute chemical i over the project crediting period [0-1] GWP substitute,i = Global warming potential of substitute chemical i [tonsco2e/substitute,i] TLR substitute,i = 1 (1 LR substitute,i;y ) tcp (21) Where: TLR substitute,i = Total leakage of substitute chemical i over the project crediting period [0-1] LR substitute,i;y = Leak rate of substitute chemical i in year y [0-1] tcp = Project crediting period For project activities taking place in Article 5 countries, the project proponent shall apply a substitute chemical derived from either official published data, research, industry studies, or default values provided in the latest version of the CAR Article 5 Ozone Depleting Substances Project Protocol. The leak rate LR substitute,i;y shall be obtained from either official published data, research, industry studies, or default values provided in the latest version of the CAR Article 5 Ozone Depleting Substances Project Protocol. For project activities taking place in Non-Article 5 countries, the project proponent shall apply substitute chemicals derived from either official published data, research, industry studies, or default values provided in the latest version of the CAR U.S. Ozone Depleting Substances Project Protocol. The leak rate LR substitute,i;y shall be obtained from either official published data, research, industry studies, or default values provided in the latest version of the CAR U.S. Ozone Depleting Substances Project Protocol. 8.4 Net GHG Emission Reduction and Removals Emission reductions are calculated as follows: ER ODS,y = BE ODS_refr,y + BE ODS_foam,y PE y LE y (22) Where: ER ODS,y = means total emission reductions during year y [tco 2e] 19

20 BE ODS_refr,y = means the baseline emissions from ODS refrigerants banks which would be released into the atmosphere in the absence of the project activity during year y [tco 2e] BE ODS_foam,y = means baseline emissions from ODS blowing agents contained in insulation foams of refrigeration appliances which would be released into the atmosphere in the absence of the project activity during year y [tco 2e] PE y = means the project emissions by the project activity during year y [tco 2e] LE y = means the leakage emissions by the project activity during year y 9 MONITORING [tco 2e] 9.1 Data and Parameters Available at Validation Data / Parameter: Data unit: Description: Source of data: Description of measurement methods and procedures to be GWP ODSi (refrigerants, blowing agents and substitute chemical) tco2e/todsi Global Warming Potential of ODSi IPCC See value Appendix I of this methodology for the first commitment period. Shall be updated according to any future COP/MOP decisions. Comments: Data / Parameter: VR refr Data unit: % expressed as number [0-100%] Description: Source of data: Rate of ODS refrigerants (destroyed) which would be vented into the atmosphere in the baseline Default value(s) given below or project-specific rate(s) sourced from officially published country data, research studies, industry data, etc. In non-article 5 countries, it is conservatively assumed that no intentional venting occurs and all ODS refrigerant is either used, reused or stored as a stockpile. As such, the default rate is 0%. 20

21 In Article 5 countries, the default rate is similarly 0% unless the project proponent demonstrates that all or a portion of the ODS refrigerant destroyed as part of the project was recovered from products at end-of-life. In the absence of any regulatory prohibition on venting, all ODS refrigerant recovered from products at end-oflife is assumed to be vented directly to the atmosphere (100%) in the baseline. Description of measurement methods and procedures to be Comments: In Article 5 countries, maintain point of origin documentation to demonstrate the portion of ODS refrigerant sourced from products at end-of-life. Calculated as a cumulative rate over the 10-year period following ODS destruction. Data / Parameter: DR refr Data unit: % expressed as number [0-100%] Description: Source of data: Rate of ODS refrigerants (destroyed) which would be destroyed in the baseline Default value given below or project-specific rate(s) sourced from officially published data, research studies, industry data, etc. In the absence of a government mandate, product stewardship scheme, or other program that creates an incentive or mechanism for ODS refrigerant destruction in the country(ies) where the project activity occurs, the default rate is 0%. Description of measurement methods and procedures to be Comments: Calculated as a cumulative rate over the 10-year period following ODS destruction. Data / Parameter: RR refr,i Data unit: % expressed as number [0-100%] Description: Rate of ODS refrigerant i (destroyed) which would be used, reused or remain in storage in the baseline 21

22 Source of data: Description of measurement methods and procedures to be Comments: Default value(s) given below or project-specific rate(s) sourced from officially published data, research studies, industry data, etc. In non-article 5 countries, it is conservatively assumed that all ODS refrigerant recovered from products is recycled or reclaimed for reuse. If in a stockpile, it is assumed that the ODS refrigerant is used to recharge existing equipment, or in the case of a government stockpile of ODS refrigerant that cannot legally be sold into the commercial refrigerant market, remains in storage. As such, the default rate is 100%. In Article 5 countries, the default rate is similarly 100% unless the project proponent demonstrates that all or a portion of the ODS refrigerant destroyed as part of the project was recovered from products at end-of-life. The portion of ODS refrigerant not recovered from products at end-of-life is assumed to be recycled or reclaimed, used in existing equipment and/or remain in storage (as in the case of a government stockpile of ODS refrigerant that cannot legally be sold into the commercial refrigerant market). Maintain point of origin documentation to demonstrate the quantity of ODS refrigerant sourced from a government stockpile that cannot legally be sold into the commercial refrigerant market. In Article 5 countries, maintain point of origin documentation to demonstrate the quantity of ODS refrigerant not sourced from products at end-of-life. Calculated as a cumulative rate over the 10-year period following ODS destruction. Data / Parameter: LR refr,i Data unit: % expressed as number [0-100%] Description: Source of data: Leak rate of ODS refrigerant i (destroyed), which would be used as refrigerant for existing equipment or remain in storage in the baseline Default value(s) given below or project-specific rate(s) sourced from officially published data, research studies, industry data, etc. In non-article 5 countries, default values for ODS refrigerant used or reused in existing equipment are the annual weighted average emission rates given in the latest version of the Climate Action Reserve s U.S. ODS Project Protocol. 22

23 In Article 5 countries, default values for ODS refrigerant used or reused in existing equipment are the applicable annual emission rates given in the latest version of the Climate Action Reserve s Article 5 ODS Project Protocol. In the case of government stockpiles of ODS refrigerant that cannot legally be sold into the commercial refrigerant market and therefore remain in storage in either non-article 5 or Article 5 countries, the default rate is 10% 2. Description of measurement methods and procedures to be Comments: Data / Parameter: ER foam,i Data unit: % expressed as number [0-100%] Description: Source of data: Rate by which ODS blowing agents contained in foam of refrigeration appliances would be released into atmosphere based on the disposal practice (baseline) in the respective host country Depending on baseline scenario (BAF1-4). For BAF see scientific sources Appendix II to this methodology and/or default values provided by the latest version of the Climate Action Reserve (CAR): U.S. Ozone Depleting Substances Project Protocol. For baseline scenarios BAF4.3 and BAF4.4 officially published data, research studies or industry data shall be used. Description of measurement methods and procedures to be Comments: 2 United Nations Environment Programme. (2013). Report on Progress and Experiences gained in Demonstration Projects for the Disposal of Unwanted ODS, Annex III. Executive Committee of the Multilateral Fund. Document No. 7054, Bangkok. Available at: 23

24 Data / Parameter: LR substitute,i Data unit: % expressed as number [0-100%] Description: Leak rate of substitute chemical I in year y [0-1] Source of data: For project activities taking place in Article 5 countries, the leak rate shall be obtained from either official published data, research, industry studies, or default values provided in the latest version of the CAR Article 5 Ozone Depleting Substances Project Protocol. For project activities taking place in Non Article 5 countries, officially published data, research studies, industry data, or default values from the latest version of the CAR U.S. Ozone Depleting Substances Project Protocol shall be used. Description of measurement methods and procedures to be Comments: Data / Parameter: Substitute chemical i Data unit: Description: Source of data: Chemical i substituting ODS refrigerant i where in the baseline refrigerant ODS would have been re-used and in the project scenario must be substituted by other chemicals For project activities taking place in Article 5 countries, the project proponent shall apply a substitute chemical derived from either official published data, research, industry studies, or default values provided in the latest version of the CAR Article 5 Ozone Depleting Substances Project Protocol. For project activities taking place in Non-Article 5 countries, officially published data, research studies, industry data, or the latest version of the CAR U.S. Ozone Depleting Substances Project Protocol shall be used. Description of measurement methods and procedures to be Comments: 24

25 Data / Parameter: M app,1,foam,i,y, M app,2,foam,i,y, M app,3,foam,i,y Data unit: t ODSi/appliance type 1, 2 and 2 Description: Source of data: Amount of blowing agent ODSi contained in foam of refrigeration appliance types 1-3 in host country Type 1 appliances, Domestic fridges: These are refrigerators of a typical domestic design with a storage capacity of up to 180 litres. The appliances may or may not be equipped with a separate deep-freeze compartment. Type 2 appliances, Domestic fridge-freezers: These are refrigeration appliances of a typical domestic design with a storage capacity ranging from 180 to 350 litres. Generally, these appliances have a separate deep-freeze compartment. Type 3 appliances, Domestic chest freezers and upright freezers: These are deep-freeze appliances of a typical domestic design with a storage capacity up to 500 litres. If official national values are available those national values shall be used. In cases where no such official values are available it shall be determined by RAL RAL Quality Assurance and Test Specifications for the Demanufacture of Refrigeration Equipment Description of measurement methods and procedures to be Comments: Data / Parameter: Data unit: Description: Source of data: EF ODS_Transport+Destruction,y tco2 Default emission factor aggregating both transportation and destruction emissions Provided by the latest version of the CAR Article 5 Ozone Depleting Substances Project Protocol: (Calculating Default Project Emissions from ODS Destruction and Transportation) Description of measurement methods 25

26 and procedures to be Comments: 9.2 Data and Parameters Monitored Data / Parameter: Data unit: Description: M DESTR,refr,i,y todsi Quantity of ODS refrigerant i destroyed by the project activity in year y Source of data: Operation logbook of recovery facility Identification note for each individual ODS container by a bill of lading Certificate of Destruction for each individual ODS container (refer to Section 9.3 of this methodology Monitoring Methodology ) Description of measurement methods and procedures to be Frequency of monitoring/recording: QA/QC procedures to be Refer to Section 9.3 of this methodology Monitoring Methodology Each container with ODS sent to destruction All measurements should be conducted with calibrated measurement equipment according to relevant industry standards (refer to Section 9.3 of this methodology Monitoring Methodology ) Comments: Data / Parameter: Data unit: Description: M DESTR,foam,i,y todsi Quantity of ODS blowing agent i contained in insulation foams of refrigeration appliances destroyed by the project activity in year y Source of data: Operation logbook of recovery facility Identification note for each individual ODS container by a bill of lading 26

27 Certificate of Destruction for each individual ODS container (refer to Section 9.3 of this methodology Monitoring Methodology ) Description of measurement methods and procedures to be Frequency of monitoring/recording: QA/QC procedures to be Refer to Section 9.3 of this methodology Monitoring Methodology Each container with ODS sent to destruction All measurements should be conducted with calibrated measurement equipment according to relevant industry standards (refer to section 9.3 of this methodology Monitoring Methodology ) Comments: Data / Parameter: Data unit: Description: Source of data: Description of measurement methods and procedures to be Frequency of monitoring/recording: QA/QC procedures to be Input flow of appliances (and types) J, K, L into the section of the recovery facility where removal of foams and extraction of ODS blowing agents from foams takes place Number of refrigeration appliances [Number] and mass unit [e.g. kg] Documentation of all input flows into the section of the recovery facility where removal of foams and extraction of ODS from foams takes place according to appliance types (type 1 domestic fridges; type 2 domestic fridge-freezers; type 3 domestic chest freezers and upright freezers;) and by weight. Operation logbook of recovery facility Weight measured by calibrated weighing scales. Continuous monitoring, recording monthly, once annually: Test of 1000 appliances All measurements should be conducted with calibrated measurement equipment according to relevant industry standards Comments: 27

28 Data / Parameter: Data unit: Description: Source of data: Description of measurement methods and procedures to be Frequency of monitoring/recording: QA/QC procedures to be Total weight of output fractions from the section of the recovery facility where removal of foams and extraction of ODS blowing agents from foams takes place (test procedure) Mass unit [e.g. kg] Documentation of output flows (type and weight) The following fractions shall be documented: Polyurethane Ferrous metals Non-ferrous metals Plastics Non-ferrous/plastic fraction Residual waste Process water ODS blowing agents Other components Operation logbook of the recovery facility Weight measured by calibrated weighing scales. Continuous monitoring, recording monthly, once annually: Test of 1000 appliances All measurements should be conducted with calibrated measurement equipment according to relevant industry standards Comments: Data / Parameter: Data unit: Description: Source of data: CR ODSi,y Number Host country-level compliance rate of the law, statute or other regulatory framework in the year y in relation to ODSi. Calculation of the compliance rate shall exclude other projects implemented under GHG programs. If the compliance rate exceeds 50%, the project shall receive no further credit. Officially published data, research studies, industry data etc 28

29 Description of measurement methods and procedures to be Frequency of monitoring/recording: Annually QA/QC procedures to be Comments: Data / Parameter: Data unit: Description: Source of data: Description of measurement methods and procedures to be Frequency of monitoring/recording: QA/QC procedures to be FC i,j,y Mass or volume unit per year (e.g. ton/y or m³/y) Quantity of fuel type i combusted in process j Onsite measurements Use utility bills or invoices for purchased fuel, or alternatively, either mass or volume meters onsite. In cases where fuel is supplied from small daily tanks, rulers can be used to determine mass or volume of the fuel consumed, with the following conditions: The ruler gauge must be part of the daily tank and calibrated at least once a year and have a book of control for recording the measurements (on a daily basis or per shift); Accessories such as transducers, sonar and piezoelectronic devices are accepted if they are properly calibrated with the ruler gauge and receiving a reasonable maintenance; In case of daily tanks with pre-heaters for heavy oil, the calibration will be made with the system at typical operational conditions. Continuously If onsite measurements are used, the consistency of metered fuel consumption quantities should be cross-checked by an annual energy balance that is based on purchased quantities and stock changes. Where the purchased fuel invoices can be identified specifically for the project activity, the metered fuel consumption quantities should also be cross-checked with available purchase invoices from the financial records. Comments: 29

30 Data / Parameter: Data unit: Description: Source of data: W C,i,y ton C/mass unit of the fuel Weighted average mass fraction of carbon in fuel type i in year y The following data sources may be used if the relevant conditions apply: Data source a) Values provided by the fuel supplier in invoices b) Measurements by the project proponent Conditions for using the data source Where relevant information is available use option a) If a) is not available Description of measurement methods and procedures to be Frequency of monitoring/recording: QA/QC procedures to be Comments: Measurements should be undertaken in line with national or international fuel standards. The mass fraction of carbon should be obtained for each fuel delivery, from which weighted average annual values should be calculated. Verify if the values under a) and b) are within the uncertainty range of the IPCC default values as provided in Table 1.2, Vol. 2 of the 2006 IPCC Guidelines. If the values fall below this range collect additional information from the testing laboratory to justify the outcome or conduct additional measurements. The laboratories in b) should have ISO17025 accreditation or justify that they can comply with similar quality standards. Applicable where option A is used Data / Parameter: Data unit: Description: Source of data: ρ i,y Mass unit/volume unit Weighted average density of fuel type i in year y The following data sources may be used if the relevant conditions apply: Data source a) Values provided by the fuel supplier in invoices Conditions for using the data source Where relevant information is available use option a) 30

31 b) Measurements by the project proponent c) Regional or national default values If a) is not available If a) is not available These sources can only be used for liquid fuels and should be based on well documented, reliable sources (such as national energy balances). Description of measurement methods and procedures to be Frequency of monitoring/recording: Measurements should be undertaken in line with national or international fuel standards. The density of the fuel should be obtained for each fuel delivery, from which weighted average annual values should be calculated. QA/QC procedures to be Comments: Applicable where option A is used and where FC i,j,y is measured in a volume unit. Preferably the same data source should be used for W C,i,y and ρ i,y. Data / Parameter: Data unit: Description: Source of data: NCV i,y GJ per mass or volume unit (e.g. GJ/m³, GJ/ton) Weighted average net calorific value of fuel type i in year y The following data sources may be used if the relevant conditions apply: Data source a) Values provided by the fuel supplier in invoices b) Measurements by the project proponent c) Regional or national default values Conditions for using the data source Where relevant information is available use option a) If a) is not available If a) is not available. These sources can only be used for liquid fuels and should be based on well documented, 31

32 reliable sources (such as national energy balances). d) IPCC default values at the upper limit of the uncertainty at a 95% confidence interval as provided in Table 1.2 of Chapter 1 of Vol. 2 (Energy) of the 2006 IPCC Guidelines on National GHG Inventories If a) is not available Description of measurement methods and procedures to be Frequency of monitoring/recording: QA/QC procedures to be Comments: For a) and b): Measurements should be undertaken in line with national or international fuel standards For a) and b): The NCV should be obtained for each fuel delivery, from which weighted average annual values should be calculated For c): Review appropriateness of the values annually For d): Any future revision of the IPCC Guidelines should be taken into account Verify if the values under a), b) and c) are within the uncertainty range of the IPCC default values as provided in Table 1.2, Vol. 2 of the 2006 IPCC Guidelines. If the values fall below this range collect additional information from the testing laboratory to justify the outcome or conduct additional measurements. The laboratories in a), b) or c) should have ISO17025 accreditation or justify that they can comply with similar quality standards. Applicable where option B of this methodology is used Data / Parameter: Data unit: Description: Source of data: EF CO2,i,y tco2/gj Weighted average CO2 emission factor of fuel type i in year y The following data sources may be used if the relevant conditions apply: Data source a) Values provided by the fuel supplier in invoices Conditions for using the data source Where relevant information is available use option a). 32